Business

MyCIF crosses RM1 billion in co-investments, bolstering MSME financing across Malaysia

MyCIF has achieved a significant milestone, surpassing RM1.19 billion in total co-investments since its inception

Updated 1 year ago · Published on 21 Jul 2025 4:24PM

MyCIF crosses RM1 billion in co-investments, bolstering MSME financing across Malaysia
Fund continues to drive funding access for micro, small, and medium enterprises (MSMEs) via equity crowdfunding and peer-to-peer financing - July 21, 2025

THE Malaysia Co-Investment Fund (MyCIF), launched under Budget 2019 by the Ministry of Finance, has exceeded RM1 billion in total co-investments, cementing its role as a key enabler of MSME growth in the country.

According to its 2024 Annual Performance Report, released today by the Securities Commission Malaysia (SC), MyCIF recorded RM1.19 billion in co-investments by the end of 2024, including RM264 million disbursed throughout the year. Over 9,500 MSMEs have benefitted from the initiative since its inception.

“MyCIF has attracted 4.1 times in private sector funding for every ringgit invested,” SC reported, noting a 21.4 per cent increase in private investment participation. This ratio demonstrates what the Commission called “efficient use of public funds”, with RM1.19 billion in co-investments generated from RM260 million in government allocations—a multiplier effect of 4.6 times.

Beyond its General Scheme, which co-invests at a 1:4 ratio, MyCIF is increasingly channelling funds into targeted sectors through specialised schemes, including Food Security and Environmental & Social Enterprise Schemes that operate at a 1:2 ratio. Total co-investment in these areas rose to RM7 million in 2024, up from RM3.4 million in 2023.

Under Budget 2025, MyCIF has allocated up to RM40 million to promote innovative Islamic risk-sharing financing through equity crowdfunding and peer-to-peer platforms. The initiative supports greater adoption of Musharakah and Mudharabah financing structures.

“MyCIF will invest on a first-loss basis in ECF and P2P campaigns based on Islamic risk-sharing models,” SC said. “For P2P campaigns, MyCIF will additionally invest at 0% financing rate.”

In July 2024, MyCIF introduced the Environmental & Social Impact Scheme to back purpose-driven businesses in key sectors such as the environment, education, healthcare, food security, and community development. The scheme also includes MSMEs involved in the development of Waqf assets.

To increase awareness and participation, MyCIF held its inaugural nationwide roadshow in Penang in February 2025, under the theme ‘Empowering Financing, Advancing Growth’. The event, supported by the Northern Corridor Implementation Authority (NCIA), targeted MSMEs in Malaysia’s northern region.

The next roadshow is set for Kota Kinabalu on 31 July 2025, aiming to expand outreach and strengthen links between alternative financing platforms and entrepreneurs in Sabah. - July 21, 2025

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